151. Value proposition test-driving for service innovation : How frontline employees innovate value propositions
- Abstract
Purpose – The purpose of this paper is to investigate the role of frontline employees in service innovation from a service-dominant logic (SDL) perspective. Frontline employees lack a formal innovation obligation. Service innovation is a resource integration process resulting in the creation of new value propositions. Design/methodology/approach – A case study of service innovation projects that includes three different businesses in the IT sector and personal interviews with 25 frontline employees. Findings – The findings suggest that frontline employees contribute to service innovation by test-driving potential value propositions. Three types of value proposition test-driving have been identified: cognitive, practical, and discursive. The findings suggest interdependencies between the different modes of value proposition test-driving, as well as specific phases of the service innovation process dominated by one form or another. Research limitations/implications – Value proposition test-driving offers a fruitful context for managers to involve frontline employees and use their creativity and expertise. The case study approach, however, limits the statistical generalizability of the findings. Originality/value – The study is novel in that it introduces the notion of value proposition test-drivingfor service innovation; provides a systematic empirical analysis of how frontline employees contribute toservice innovation by test-driving value propositions; offers a service innovation model informed by the SDL; and contributes to the SDL by detailing how service innovation occurs in practice.
- Published
- 2016
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